An Investigation of the Causes and Effects of Building Projects Abandonment: A Case Study of Krofrom Market

Project abandonment is one of the most significant issues encountered in the construction sector. Government invests huge sums of money in projects some of which are deserted. This study investigated the causes and effects of building projects abandonment. In achieving the aim of the study, the following specific objectives were advanced, to determine the causes and the effects of project abandonment on the client and contractor in the construction industry, the challenges people face as a result of the abandonment and the effect on the Ghanaian economy within the Kumasi metropolis using Krofrom Market as a case study. The study adopted the use of questionnaire and survey to collect data. Direct personal interview was undertaken and 50 questionnaires distributed. Out this number, 40 questionnaires were distributed to respondents out of which 30 were retrieved from residents of Krofrom, 9 questionnaires were distributed and retrieved from consultants of the contractor and 1 structured questionnaire was presented to client (Kumasi Metropolitan Assembly). SPSS and Relative Important Index are the data analytical tools used in analyzing the data. Findings revealed that the main causes of the abandonment include; delay in interim payment, inflation, poor financing of project and variation during construction. Increase in final cost of the project and waste of materials and plants are the main effects on client and contractor. Threat to community security and unemployment are the main effects on the locality and reduction in government revenue as the effect on the economy. The following were recommended as guidelines to reduce construction project abandonment; the need to carry out proper feasibility studies, proper planning before project commencement, respect conditions of contract, issue of instructions on time to contractor and early preparation of interim certificate to avoid delay. This study will assist the government in being more careful in the future when awarding contracts or giving construction projects. The study also served as a guide for other researchers who wish to learn more and it can be used by non-academic researchers to increase their knowledge of the subject.